BAROMETER LAGOS REAL ESTATE: Q1 2015

LAGOS AVERAGES SALES

HOUSE

AVERAGE SALE PRICE/BEDROOM

4% Apartment for sale

TOTAL DEMAND

RENTAL

HOUSE

AVERAGE RENTAL PRICE/BEDROOM

N 13,815,179

N 831,510

APARTMENT

APARTMENT

N 11,388,006

N 578, 519

5% Land for sale 14% House for sale 58%

AVERAGE SALES PRICE/BEDROOM

AVERAGE RENTAL PRICE/BEDROOM

Apartment for Rent

19% House for rent

LAGOS OVERVIEW

Lamudi, through this report, provides a granular insight into the Lagos property market. This report is based on supply and demand data gathered on almost every Lagos neighbourhood.

14% House for Rent

TOTAL SUPPLY

14% Land for sale 41%

House for Sale

9% Apartment for Sale 22% Apartment for Rent

Highlights Despite a reported lull in sales activity in the sector, the first quarter of 2015 represented Lamudi’s busiest since launch. Visits to the Lamudi platform were up almost 43% in comparison to the previous quarter (Q4 2014). The average selling price of available residential property across Lagos for the first quarter of 2015 was N13.4 million (per bedroom), while the average rental price per bedroom was N694,000. While over 70% of property searches were for rental properties, only 30% of properties made available were rentals. Land purchases represented less than 5% of overall demand. However, over 30% of real estate brought to market were plots of Land for sale.

LAGOS SALE PRICES

30M+ 20M - 30M 16M - 20M 12M - 16M 8M - 12M 4M- 8M 0 - 4M Not Covered

Ikeja

N 19,898,431 149%

Key to L.G.A’s on Page 5 11 9 1

16

2

17 3

Badagry

6

N 1,835,983 14%

4

8 10

15

5

13

19

20

12 14

18

7

Lagos Isand Apapa

N 23,775,316

AVERAGE SALES PRICE BY L.G.A

N 51,584,119 385%

178%

N: Average price per Bedroom

%: Deviation from Lagos average

The average sales price by Local Government Area (LGA) illustrates the significant disparities that exist across Lagos city: The average sales price for available property in Lagos Island was N46m per bedroom, more than three times the Lagos median sales price. The lowest average sales prices were below N2.5m per bedroom in the southern Lagos outskirts of Badagry and Ojo. These prices were less than a fifth of the Lagos median price. Surprisingly, Apapa and not Ikeja represented the third most expensive neighbourhood (behind Ikoyi and Victoria Island) at N23.5m per bedroom.

LOWEST 10 NEIGHNOURHOODS

TOP 10 NEIGHBOURHOODS Neighbourhood

City

Ikoyi Victoria Island Apapa Ikeja Ketu Maryland Lagos Island Lekki Festac Isolo

Avg price/bedroom Deviation from Lagos average

Neighbourhood

City

Iju Ejigbo Ipaja

51.58M 28.43M 23.77M 19.89M

305% 213% 178% 149%

15.46M

116%

13.80M 13.76M 13.74M 11.71M

103% 103% 103%

Ikorodu Igando Ikotun Abule-Egbe Egbe

88% 81%

Ojo Badagry

10.79M

Avg price/bedroom Deviation from Lagos average

5.40M 5.32M 4.51M 4.25M 4.19M

40% 40% 34% 32%

3.78M 3.54M

28% 26% 24%

3.21M 2.33M 1.84M

31%

17% 14%

1.5M - 2.5M 751K - 1.5M 451K - 750K 351K - 450K 251K - 350K 151K - 250K 0 - 150K Not Covered

LAGOS RENTAL PRICES Ikorodu

N 113,589 17%

Abule Egbe

Key to L.G.A’s on Page 5

N 110,492 16%

Ikotun

9

N 119,163 18%

11

1

Igando

16

2

17

N 112,154

3

16%

Ojo

6

N 108,796 16%

4

8 10

15

5

13

Ikoyi

19

350%

20

12

N 2,382,192 14

18

7

Lagos Island Apapa

N 762,263

AVERAGE RENTAL PRICE BY L.G.A

N 985,327 145%

Victoria Island

N 1,549,582

112%

228%

N: Average annual rental per bedroom %: Deviation from Lagos Average

Rental price patterns across Lagos generally mirror sales prices with a few notable exceptions: The relatively high average rental price (N694,000 per bedroom) for Lagos is skewed towards the high availability of overpriced rental stock in Lagos Island and Eti-Osa LGAs. Lekki in particular, is overpriced for rentals, potentially a sign of speculative pricing for low demand housing stock rather than an actual lack of available housing stock. Mushin, Ikotun and Badagry surprisingly made it into the top 10 most expensive neighbourhoods to rent in Lagos.

LOWEST 10 NEIGHBOURHOODS

TOP 10 NEIGHBOURHOODS Neighbourhood

City

Ikoyi Victoria Island Lagos Island Lekki Apapa Maryland Mushin Badagry Ogudu Ikeja

Avg price/bedroom Deviation from Lagos average

Neighbourhood

City

2.38M 1.55M 985K 821K 762K

350% 228% 145% 121%

Egbe Agege Iju

112%

679K 587K 528K

100% 86% 78%

Ipaja Ikotun Ikorodu Igando

508K 500K

75% 45%

Abule Egbe Ojo

Egbeda

Avg price/bedroom Deviation from Lagos average

185K 175K 174K 144K 140K

27% 26% 26% 21%

119K 113K

18% 17% 16%

112K 110K 108K

21%

16% 16%

LAGOS DEMAND

1500%+ 1000% -1500% 500% -1000% 250% - 500% 100% - 250%